11/02/2026
Owners on private projects in Louisiana now have a payment deadline, and missing it can get expensive.
Since August 1, 2026, Louisiana’s prompt payment law reaches owners at the top of the payment chain. Before Act 822, the statute mostly covered money flowing down from contractors to subs and suppliers. Owners had no comparable deadline.
Here’s what changed:
Owners generally must pay the general contractor within 35 days of receiving a written payment request for properly performed work, unless there’s a good-faith dispute.
If the owner has a construction loan and requested the draw on time, the deadline can stretch to five days after the loan money arrives.
A late payment without a good-faith dispute can carry a penalty of 1.5% per month on the unpaid amount. The old 15% cap is gone, and the side that wins can recover attorney fees.
Residential projects are no longer exempt, and these protections generally can’t be signed away in a contract.
For contractors, that’s real leverage when a pay app sits unpaid. For owners, it means your payment process, and how you document a genuine dispute, matters more than it used to.
If you have questions about how the new rules apply to your project, call Venezia & Associates at 504-486-3910.
Venezialaw.net